Lender Commission Rebate Policies
Last Updated: January 5, 2010
The companies listed below reflect the lenders we recently contacted as part of our research requesting their underwriting policies related to buyer commission rebates, payments paid outside of closing (POC) and their disclosure requirements. In addition to the letter, we issued the following press release as part of our effort to bring clarification to the issue.
If you plan to engage a real estate brokerage that offers buyer commission rebates, be sure to check-in with your lender to determine how they handle such rebates. Many conventional lenders prohibit the practice of any type of payments POC, including buyer commission rebates.
Our goal is to update the table as soon as we receive confirmation from the lender's underwriting department confirming their position on buyer commission rebates, payments POC and whether or not they have a formal disclosure policy.
If your lender is not listed below, ask your lending representive to confirm how they process buyer commission rebates, whether payments POC are permissible, and if they have a formal disclosure policy.
| Mortgage Lender | Allows Rebate Payments POC | Disclosure Policy |
|---|---|---|
| BB & T Corp. | TBD | TBD |
| Bank of America Corporation | TBD | TBD |
| Citigroup, Inc. | TBD | TBD |
| Fifth Third Bancorp | TBD | TBD |
| Flagstar Bancorp Inc. | TBD | TBD |
| GMAC Mortgage, LLC | TBD | TBD |
| JPMorgan Chase & Co. | No | No |
| KeyBank | No | No |
| MetLife Home Loans | TBD | TBD |
| PHH Mortgage | TBD | TBD |
| PNC Financial Services Group Inc. | TBD | TBD |
| Quicken Loans | No | No |
| Regions Financial Corp. | No | No |
| SunTrust Banks, Inc. | TBD | TBD |
| US Bank | No | No |
The better informed you are about the process of buying a house, the more likely you and any offer you make will be successful.